The momentum trade just hit a wall and the unwind has been nothing short of brutal. JPMorgan analysts Dubravko Lakos-Bujas, Arun Jain and Bhupinder Singh note that the sharp reversal in momentum has erased two years of gains in just three weeks – one of the fastest unwinds in four decades.
Just wanted to follow up on these two charts, which I had pointed out weeks earlier as bearish-looking diamond patterns. Nice to see them work out, finally!
